Date: 2023-01-31Category: Not ApplicableState: Union GovernmentCountry: India
Amendment in conditions of the Standard Input Output Norms
(SION) at E-136 for export of wheat flour (Atta) and amendment
in para 4.05 (iii) under Handbook of Procedures 2015-20- reg.
This Public Notice, No. 54/2015-2020, issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industry, dated January 31, 2023, amends the conditions of Standard Input Output Norms (SION) at E136 for the export of wheat flour (Atta) and paragraph 4.05(iii) of the Handbook of Procedures 2015-2020.
The key changes are:
1. Advance Authorizations (AA) will be issued to flour millers and exporters who have tie-up arrangements with flour millers as supporting manufacturers.
2. Export of Wheat Flour (Atta) under the Advance Authorization Scheme is permitted, contingent upon the pre-import of wheat under the notified SION only. Domestic sourcing of wheat is not allowed, and the invalidation letter/ARO facility is not available. Third-party exports are also prohibited.
3. Import and export are restricted to EDI-enabled ports.
4. The Export Obligation Period (EOP) for Advance Authorizations for wheat is set at 180 days from the date of clearance of each import consignment, with no extensions permitted. Imported wheat is subject to actual user conditions, and transfer is not allowed.
5. Non-fulfilment of Export Obligation (EO) or failure to achieve the stipulated value addition will result in a penalty of five times the CIF value of the imported material corresponding to the shortfall in EO, in addition to applicable duty and interest. Paragraph 4.49 of the Handbook of Procedures will not apply.
The effect of this notice is to include supporting manufacturers for job work within the conditions of SION E136 and paragraph 4.05(iii) of the Handbook of Procedures, 2015-20.
For further information, contact Santosh Kumar Sarangi, Director General of Foreign Trade & Ex-officio Additional Secretary to the Government of India, at dgft@nic.in. This notice was issued from File No. 01/94/180/157/AM22/PC-4.
Key Entities Referenced
Directorate General of Foreign Trade: The issuing authority for the public notice, responsible for foreign trade policy.
Foreign Trade Policy FTP, 20152020: The governing policy for foreign trade, which provides the legal basis for the amendments.
Standard Input Output Norms SION E136: Specific standard outlining the input-output norms for the export of wheat flour (Atta).
Handbook of Procedures 201520: A supplementary document to the Foreign Trade Policy, providing detailed procedures and guidelines.
Advance Authorization Scheme: A scheme allowing duty-free import of inputs required for export production.
New Delhi: Location from which the Public Notice was issued. New Delhi, Delhi
Wheat Flour Atta: The specific commodity affected by the amendment related to export conditions.
Santosh Kumar Sarangi: Director General of Foreign Trade and Ex-officio Additional Secretary to the Government of India; signatory of the Public Notice.
(To Be Published In the Gazette of India Extraordinary Part-I Section-I)
Government of India
Ministry of Commerce and Industry
Department of Commerce
Directorate General of Foreign Trade
Vanijya Bhawan
Public Notice No. 54 /2015-2020
New Delhi, dated the 31 January, 2023
Subject:- Amendment in conditions of the Standard Input Output Norms (SION) at E-136 for
export of wheat flour (Atta) and amendment in para 4.05 (iii) under Handbook of Procedures
2015-20- reg.
In exercise of the powers conferred under paragraph 1.03 & 2.04 of the Foreign Trade
Policy (FTP), 2015-2020, as amended from time to time, the Director General of Foreign Trade
hereby makes the following amendments:
1. The condition (i) of SION E-136 as mentioned in Public Notice no. 38/2015-20 dated
25.11.2022 is to be read as under:
The Advance Authorization(AA) shall be issued to flour millers and exporters having
tie up with flour millers as supporting manufacturer.
The para 4.05 (iii) is to be read as under:
“Wheat Flour (Atta)” is permitted to be exported under the Advance Authorization
Scheme, subject to pre-import condition of wheat under the notified SION only. No
domestic/ indigenous sourcing of wheat is permitted and the invalidation letter/ARO
facility is not available. Third party exports are also not allowed in this case. Import
and Export would be permitted only through EDI enable ports. The Export Obligation
period (EOP) of Advance Authorization for wheat shall be 180 days from the date of
clearance of each import consignment and no extension in EOP shall be allowed. Such
import shall be subject to actual user condition and no transfer of imported wheat shall
be permitted. In case of non-fulfilment of EO/ non-achievement of stipulated value
addition, a penalty equal to five times of the CIF value of the imported material,
corresponding to the shortfall in EO, shall be imposed in addition to the payment of
applicable duty and interest. Provisions of Paragraph 4.49 of Handbook of Procedures
shall not be applicable in this case.
Pa
Effect of this Public Notice:
The conditions of SION E-136 and para 4.05(iii) of Handbook of Procedures, 2015-20 is
amended to include supporting manufacturers for job work.
Sor
(Santosh | Kumar Sarangi)
Director General of Foreign Trade
Ex-officio Additional Secretary to Government of India
E-mail: dgft@nic.in
(Issued from File No. 01/94/180/157/AM22/PC-4)